US Congressional Report Analyzes Nepal's Geopolitical Position and Foreign Relations

Kathmandu. Following the Gen-Z movement on Bhadra 23 and 24, the United States has clarified its stance on Nepal's recent politics and the trilateral relationship between Nepal, India, and the US.

The Congressional Research Service (CRS), a think tank for the US Congress, has released two reports regarding Nepal's political situation and geopolitics. The report suggests that Nepal maintains stronger historical ties with India than with China.

Describing Nepal as a 'buffer state' between India and China, the CRS notes that Nepal shares deep historical, religious, and cultural traditions with both neighbors. While Nepal pursues an independent, non-aligned foreign policy, the report highlights that its relationship with India remains foundational, governed by the 1950 Treaty of Peace and Friendship.

The report, published on April 4, 2026, references the 2015 (2072) unofficial blockade that strained Nepal-India ties, leading then-Prime Minister K.P. Sharma Oli to sign a transit agreement with China in 2016. It also notes that border tensions escalated in 2020 following Nepal's inclusion of Lipulekh, Kalapani, and Limpiyadhura in its official map.

Regarding China, the report highlights increased engagement since 2015, including joint military exercises in 2017 and the signing of the Belt and Road Initiative (BRI) memorandum. However, it describes the progress of the ten identified BRI projects as slow and notes the Nepali government's silence on alleged Chinese border encroachments in Humla.

• Nepal-US Relations

The US describes its relationship with Nepal as friendly, focusing on governance, political stability, and economic development. US assistance programs have historically targeted agriculture, democracy, human rights, and climate change. The report highlights the $500 million MCC compact, approved by Nepal's parliament in 2022, aimed at infrastructure development, with a November 2025 amendment adding $50 million in funding.

• Regarding Tibet

The CRS report states that Nepal currently hosts approximately 12,500 Tibetan refugees, with an additional 10,000 undocumented Tibetans residing in the country. The US Congress has allocated $13 million for fiscal year 2026 to support Tibetans living outside of Tibet, including those in Nepal.